A Georgia data center secretly used 29 million gallons of water before residents noticed low pressure

At a glance:

• Quality Technology Services (QTS) drew roughly 29 million gallons of water through two unmetered connections at its Fayetteville, Georgia "Project Excalibur" campus over an estimated 9 to 15 months before the unauthorized use was discovered.
• Fayette County opted not to fine QTS despite the unmetered consumption, with the county's water system director calling it a matter of customer service: "They're our largest customer, and we have to be partners."
• The incident has intensified scrutiny of data center water and power use in Georgia, where more than 200 facilities operate amid moderate-to-severe drought and a governor-declared wildfire emergency.

How the unauthorized water use was discovered

Fayette County, Georgia — a community about 20 miles south of Atlanta — told residents to stop watering their lawns in an effort to conserve water. The request followed complaints from homeowners in a nearby subdivision who experienced unusually low water pressure. When county officials investigated the cause, they found that a massive data center campus had been quietly drawing roughly 29 million gallons of water through two connections the county didn't know existed, according to a report by Politico.

The campus in question is the QTS Fayetteville facility, code-named "Project Excalibur." The discovery came to public attention after a Fayette County resident obtained the utility's May 2025 letter to QTS through a public records request. That letter documented the unmetered consumption and the resulting $147,474 in retroactive charges the company owed.

What QTS said about the water use

QTS, the Blackstone-owned developer behind the 615-acre Fayetteville campus, told Politico that the 29 million gallons were consumed during temporary construction activities, including concrete work, dust control, and site preparation. The company emphasized that its facilities market a "closed-loop" cooling system that recirculates the same water rather than drawing from the municipal supply, and that once operational, the campus would only require water for domestic needs such as bathrooms and kitchens.

However, the discrepancy between QTS's stated water usage and its actual consumption went undetected for months. County water system director Vanessa Tigert attributed the oversight to a procedural error that occurred during the county's transition to a cloud-based metering system. Tigert told Politico that her department has a single employee handling both inspections and plan reviews, saying, "... we don't have enough staff. We can't keep staff." QTS and the county disagreed on the duration of the unmetered period: Tigert estimated about four months, while QTS placed the figure at 9 to 15 months.

Why the county chose not to fine QTS

Despite the two unauthorized water connections and months of unbilled consumption, Fayette County opted against imposing a fine on QTS. Tigert explained the decision plainly: "They're our largest customer, and we have to be partners. It's called customer service." The company was billed retroactively for the water it used, but no penalty was added.

The lenient response has drawn attention given the broader strain data centers place on local infrastructure. The QTS Fayetteville campus is among the largest data center developments in the country, currently comprising 13 buildings totaling approximately 6.2 million square feet. Plans call for up to 16 buildings at full buildout, with QTS expecting to invest up to $1 billion in the project. Construction began in 2023 and is not expected to be completed for another three to five years. The campus is projected to generate $150 million to $200 million annually in property tax revenue for the city, according to local estimates.

A wider pattern of data center pushback in Georgia and beyond

The Fayetteville incident arrives amid growing resistance to data center expansion in communities across the United States. Fayetteville's own city council had already moved to restrict data center growth earlier in 2025, banning new facilities in every zoning district through Ordinance 26-0-12. A separate proposal from developer Crow Holdings was denied by the city's planning commission in January, and the company withdrew its appeal in March.

At the state level, Georgia's Public Service Commission froze Georgia Power's base rates through 2028, specifically to prevent data centers from shifting electricity costs onto residential customers. The state is currently experiencing moderate to severe drought conditions, and Governor Brian Kemp declared a state of emergency last month over wildfires. Georgia hosts more than 200 data center facilities, making it one of the most concentrated data center markets in the country.

Nationally, Fayetteville is one of at least 50 cities across the U.S. that currently have active bans on new data center construction, with four adopting permanent prohibitions, according to the U.S. Data Center Moratorium Tracker. The tracker highlights a mounting tension between the rapid expansion of AI-driven computing infrastructure and the ability of local utilities and governments to keep pace.

What to watch next

The QTS water-use episode raises questions about monitoring gaps in rapidly growing data center markets. With the Fayetteville campus still years from completion and additional facilities planned across Georgia, regulators and residents will likely push for tighter metering requirements and more transparent reporting from operators. Whether the county's decision to waive penalties sets a precedent — or invites stricter state-level intervention — will be a key thread to follow as AI infrastructure demand continues to strain water and power resources in the region.